Determine the marginal revenue product of labor

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How to determine the marginal revenue product of labor for workers in the organization, given the wage rate. For each additional labor input added, how much additional revenue is gotten. How many workers should be employed?

Number of Workers

Total Revenue

Marginal Labor Cost

Marginal Revenue Product of Labor

0

 $-

 $176.00 

 

1

 $1,000.00 

 $176.00 

 $1,000.00 

2

 $1,450.00 

 $176.00 

 $450.00 

3

 $1,750.00 

 $176.00 

 $300.00 

4

 $1,950.00 

 $176.00 

 $200.00 

5

 $2,050.00 

 $176.00 

 $100.00 

6

 $2,100.00 

 $176.00 

 $50.00 

7

 $2,110.00 

 $176.00 

 $10.00 

Reference no: EM133125243

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